Inequality or poverty: which is bad for growth?

Crawford School of Public Policy | Arndt-Corden Department of Economics

Event details

ACDE Seminar

Date & time

Tuesday 11 October 2016
2.00pm–3.30pm

Venue

Seminar Room E, Coombs Building 9, Fellows Road, ANU

Speaker

Robert Breunig, Crawford School, ANU.

Recent research has highlighted a negative impact of inequality on economic growth. We re-evaluate this hypothesis focusing on both inequality and poverty and their interaction. We replicate previous results showing that inequality has a negative impact on growth. However, we show that when we account for both inequality and poverty, the negative effect of inequality on growth appears to be concentrated amongst countries with high poverty. This would argue for policies targeted towards alleviating poverty rather than policies about redistribution.

Updated:  29 March 2024/Responsible Officer:  Crawford Engagement/Page Contact:  CAP Web Team